Join me on the journey to a 250k+ Bitcoin price! We will definitely have some good and bad times on this bumpy road, but with good alpha we will be able to ride strong trends and avoid sharp losses. Being a trend trader, I am not promising to pinpoint exact highs and lows, but I hope my view will assist you in making your own decisions.
8-Hour Bitcoin Chart
The 8-hour chart is still bullish. Predator indicator is green, indicating a long trend, and the price is comfortably above the 20-period moving average. We are seeing some consolidation following the big upwards run, the Fibonacci support of 53000 has been held nicely. I am a trend trader, and my main focus is on 1D and 3D charts, butI am using the 8H chart to lay the bed for further decisions.
1-Day Bitcoin Chart
Most people trade the 1-day chart, and good news for the bulls: the chart is bullish. Predator indicator is green and the price is way above the ascending 20-period moving average. As seen on the 8H chart, consolidation is in process which is absolutely healthy. the Fibonacci resistance and the upper boundary of the demand zone are holding the price nicely for now.
3-Day Bitcoin Chart
The 3-day Bitcoin chart is my favorite and this is the one usually driving me into sizable positions, but I always wait for confirmation from the 1-day and 8-hour time-frames. This is a nicely bullish chart, just as the other two. Predator is green, 20-period moving average is ascending and price is north of the moving average level. As mentioned above, the Fibonacci line and demand zone serve as supports for now.
Summary
Our three charts together indicate an intact bullish trend. All of them fulfill my criteria of a bull market. I am not surprised by the current little pullback and the consolidation, the market become overbought during the latest upwards run. In fact I expect the Bitcoin price to continue consolidation, and I do not exclude some further pullback. The Fibonacci resistance and demand zone between 53k and 51k is my downwards target. A drop under 44k would signal the end of the current bull run. If Bitcoin would continue its way to the north, then 58k and 60k are reasonable targets.
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What is trend trading?
Trend trading is a market strategy that is reasonably different from swing trading or day-trading. A market “trend” is a tendency of a financial market price to move in a particular direction over time. Swing traders and day-traders are usually trying to pinpoint low-term market tops and bottoms, and take aggressive positions expecting to profit from a swift change of market direction. Trend traders are looking for consolidated and strong directions on a given market, and are trying to ride the trend for as long as possible. These traders normally enter in the market after the trend “properly” establishes itself.
What is the indicator coloring my chart candles?
I am using the Predator indicator from Decentrader as my core trading tool, that is coloring my candles green-red-turquoise-orange, and is providing me basic information on the trend. I am also using the 20-period moving average and Fibonacci levels for the identification of supports and resistances.
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Disclaimer
The present article is a free material, for entertainment and educational purposes. Nothing in this post shall be considered as financial advice, you shall never make any financial decisions or financial investments based on a singly source of information and without doing your own research.
